Every organisation has some kind of system of working, be it file registers, Microsoft Excel files or a combination of the two. Most organisations feel that since their present manual system works there is no reason to implement a computer software system. In this article we will analyse some of the enhancements and new possibilities that can be tapped by using a formal software system.
Scale
When an organisation reaches a certain size, the information is too much to handle via manual systems as human brain can only handle a limited amount of information. Also, if you want to grow to a certain size then it is smart to be proactive and get systems which will allow you to scale up.
Sharing information
Studies have shown that for a long time after the introduction of computer software systems, there was very little increase in productivity and then there was a sudden spurt. This spurt was associated with the advent of systems that allowed “sharing” of information. The simple concepts of any user only entering information once and that each piece of entered information is available to all users provide a synergy, an added value to working together. Thus communication gets enhanced, information gets shared and the true value of working in a group is realised.
Control
Typically software systems concentrate the information in one place so that top management can have an overview of what is happening in their organisations. If a system is based on internet technology then you have one place for global control.
Standardisation
Standards can be created and maintained across all divisions and offices of an organisation. Systems reduce an organisation’s vulnerability to staff turnover. It becomes much easier for a new employee to take over another’s tasks because the tasks are well defined. Standards save time and enforce uniformity throughout an organisation.
New possibilities
Technology can create an opportunity; make something possible, which would be very difficult or impossible to do otherwise. Example: Managing a factory/office in a different country becomes possible/easier because of the enhanced control provided by a software system.
Security
If key organisation information is lying dispersed in Excel sheets on different user’s machines then you have a problem. Information critical to your organisation should be regularly backed up (copied) and stored off-site so that it is not lost in the case of any disaster scenario (computer hardware failure, fire etc.). Control the access to information of users; who should be allowed to see what.
Process control through workflow
Most businesses involve the repeated execution of certain defined processes. The winners are invariably those companies who can fine-tune their processes to repeatedly complete on time with top quality. Better software systems will give you the means to track and control your business processes.
Repository
Build a repository (storehouse) of information in a searchable digital form. Being able to search/trace history will help learning and save time.
The most common misconception is that only a large company can benefit from having a system in place. A small company needs to be as efficient if not more as its larger counterpart to survive. Larger companies can afford a few lapses in their workflow without it pinching, but for a small company it could mean the difference between making a profit to going out of business.
How much does it cost to air a shipment? Using a system effectively would guarantee a decrease in the number of shipments aired. So in essence the software would pay for itself.
Sanjoy Sahgal is the CEO of AXIND Software. Views expressed are personal.